Rs 3,250 Crore Expected To Be Raised By Idea Cellular From Promoter Group

Rs 3,250 Crore Expected To Be Raised By Idea Cellular From Promoter Group

The board of Idea Cellular on Thursday accepted lifting almost Rs 3,250 Crore from the organizations below the supporter Aditya Birla Group by rolling 32.66 Crore equity stakes on a privileged basis. Idea Cellular Board has made a team to assess possible routes for lifting additional fund of almost Rs 3,500 Crore.

“The Idea Cellular Limited’s (Idea) Board of Directors, this week accepted issuance of almost 326.6 Million equity stakes, with Rs 10 of face value for each share, at a cost of Rs 99.50 for every share (in line with SEBI ICDR Regulations) on privileged basis,” the statement claimed. The shares will be rolled out to organizations below Aditya Birla Group including Elaine Investments Pte Ltd (Singapore), Birla TMT Holdings Private Limited, Surya Kiran Investments Pte Ltd (Singapore), Oriana Investments Pte Ltd (Singapore), the statement claimed.

“The collective capital combination will be of Rs 32,500 Million,” claimed the statement. The roll out is anticipated to conclude by early February this year conditional on regulatory acceptances, post which the Promoter group’s shareholding in Idea will elevate to almost 47.2% from current number of almost 42.4%. “The Aditya Birla Group stays pledged towards the telecom commerce. The group is in the procedure of making a huge digital infrastructure. This equity mixture by the Group in Idea is one more step towards strengthening the commitment at the time when the telecom sector is going via a hurdling environment,” Kumar Mangalam Birla, the Chairman of Idea Cellular, claimed to the media in an interview.

Idea will additionally discover possible methods of lifting extra fund in the range of almost Rs 3,500 Crore that might include additional QIP (qualified institutional placement), preferential issue, and rights issue. Idea will also look for possible monetization of 11.15% stake of the company in Indus Towers—its joint venture with Vodafone and Bharti Airtel.